Lloyds TSB has unblocked the account of a Walsall firm which was left unable to pay its staff and fulfil orders.

Hare’s Moor, which makes DIY curry kits to sell to big name retailers like Ocado, Harrods and the Co-operative, could not access cash to fulfil orders and pay salaries after its account was frozen last week.

But now the account has been unblocked, Sally Hare, the firm's founder, said she was relieved that the business could now function as normal.

"It just means that everything that’s been backed up this week – things to pay, to do, to order – we can finally do it.

"It was so frustrating and embarrassing – this week has been an absolute nightmare."

The problem was triggered after Hare’s Moor was given a loan of £15,000 from the Black Country Reinvestment Society (BCRS), which lends to companies which can’t get finance from their banks.

Because of a dispute over whether BCRS sent a vital legal document – known as a "waiver on a debenture" – the bank froze the account.

But BCRS claims it sent the documents on the day it received the request.

Ms Hare said the account had been unfrozen as Lloyds TSB said they had received the documents this morning.